March is here and silver is up... however this uptrend acceleration has nothing to do with what I wrote last week about the tightening of physical silver... or is it?
I am not going to read too much into this price hike. The only time we can tell is when the new conflict subsides.
Interestingly, history has predicted this war. I read about the prediction during the Winter Olympics... strange as it may sound, apparently the conclusion of Winter Olympics has in recent times been associated with a conflict (war). The article had in fact ruled out China-Taiwan, among others. It landed squarely on US-Iran as the most likely conflict given the intensely pretentious negotiations that have been taking place behind the scenes. Then, it really happened!
Back to the topic of silver price spike. War is definitely the trigger for this spike. Precious metals group, oil and gas, defence contractors are all flying, so it's obvious! The key is how long this conflict will last.
What do we do in the meantime? Buy or take profit? Having taken the initial base investment money off the table, I will take a backseat in at least the initial stage of the rally. If the conflict settles quickly, I expect silver price to correct itself given the quick price increases.
If the conflict continues for the short to mid term, silver price will continue to rally. It will come a time point to make another decision if more profit should be taken off the table. But now is not that time.
I will use the charts to guide my decision. One thing is clear, no matter what, I won't completely sell out of my gold and silver holdings. It is not about the war... silver rally is real and higher prices are here to stay, correction or otherwise. There's a real life demand deficit question that has not been answered.
Every now and then, we will continue to revisit the question of deficit. According to Sprott, the billionaire precious metals investor, $300 silver price is within reach! I won't put a price tag to silver. Silver price can be $100, $300 or $1000. It doesn't really matter to the world if there's no real life application. Just like bitcoin projection by auntie Cathie. Bitcoin can be $1.5M for all anyone care. It's simply a number in a computer screen. Just like government printing money as they like... it's always the real life application that affects people. Silver, happily or sadly, does has important applications in the new economy. The more we need to use its unique properties for technology, the more we need to pay for it! Just like we want AI, companies paid for $NVIDIA(NVDA)$ chips, we pay for the "privilege" of silver in our luxury, like it or not. Silver is for the future... so I will always have something around it in my portfolio.
@Tiger_comments @TigerClub @TigerStars
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